Australian Industry Group Performance of Construction Index for March 2019
Up for the month, still deep in contraction (7 months consecutive contraction now).
Major points from the survey results via AiG:
- new orders and deliveries from suppliers contracted at slightly steeper rates in February with businesses attributing this to overall sluggish demand conditions
- All four sectors contracted in February
- Weighing heavily on industry conditions was continued weakness in the house and apartment building sectors where rates of decline in new orders were the most marked since mid-2013.
- Commercial construction fell further into negative territory while engineering construction declined for a third month due to a shallower pool of new work to replace completed and more advanced projects.
- Residential building respondents to the Australian PCI® mainly commented on slow market conditions due to soft new orders, tight lending conditions, falling prices and caution by prospective buyers.
A poor result but in keeping with the recent trend in this sector as house prices continue their fall.
Earlier PMIs from Australia for March:
- Australia manufacturing PMI March 2019: 51.0 (prior 54.0)
- Australia - CBA / Markit Manufacturing PMI for March (final): 52.0 (prelim was 52.0)
- Australia (final, March) CBA Services PMI 49.3 (flash was 49.8) & Composite 49.5 (flash 50.0)
- Australian Industry Group Performance of Services index for March: 44.8 (prior 44.5)
